IDEAS home Printed from https://ideas.repec.org/a/prf/journl/v4y2010i1p12-46.html
   My bibliography  Save this article

Intergenerational Solidarity of the Public Health Care Systems in Europe

Author

Listed:
  • Katerina Pavlokova

    (Ministry of Health of the Czech Republic)

Abstract

Ageing of the population has become one of the important topics in developed countries in recent times. Health care and pension systems based on solidarity are especially vulnerable to demographic changes associated with falling fertility rates and increasing life expectancy. The main task of the paper is to answer and quantify the question who bears the costs and who benefits from the public health care systems and reveal possible future imbalances. We introduce a long-term projection technique enhanced by some elements of generational accounting approach with intent to express the ageing problem in the health care sector. We explore both the revenue side of the public health care systems as well as the health care expenditures from the perspective of separate generations. Following countries have been selected as the representatives of the European health care systems: the Czech Republic, Denmark, Estonia, France, Italy, the Netherlands, Switzerland and the United Kingdom. The model points to un-sustainability of the current public health care systems if the effective tax rates did not increase. If the demand for health care had to be satisfied, the health care systems financed through social contributions and income-based taxes would be faced with increasing burden on working population.

Suggested Citation

  • Katerina Pavlokova, 2010. "Intergenerational Solidarity of the Public Health Care Systems in Europe," ACTA VSFS, University of Finance and Administration, vol. 4(1), pages 12-46.
  • Handle: RePEc:prf:journl:v:4:y:2010:i:1:p:12-46
    as

    Download full text from publisher

    File URL: https://www.vsfs.cz/periodika/acta-2010-1-01.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Edward Whitehouse, 2007. "Pensions Panorama : Retirement-Income Systems in 53 Countries," World Bank Publications - Books, The World Bank Group, number 7177.
    2. J. Ignacio Conde-Ruiz & Paola Profeta, 2007. "The Redistributive Design of Social Security Systems," Economic Journal, Royal Economic Society, vol. 117(520), pages 686-712, April.
    3. Nicholas Barr & Peter Diamond, 2006. "The Economics of Pensions," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 22(1), pages 15-39, Spring.
    4. Robert Holzmann & Edward Palmer, 2006. "Pension Reform : Issues and Prospects for Non-Financial Defined Contribution Schemes," World Bank Publications - Books, The World Bank Group, number 6983.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nicholas Barr, 2010. "Reforming Pensions: Principles and Policy Choices," ACTA VSFS, University of Finance and Administration, vol. 4(1), pages 47-58.
    2. Jiri Rusnok & Juraj Dlhopolèek, 2010. "End to Age of Naivety: Pension Reforms in Post-Transition Countries," ACTA VSFS, University of Finance and Administration, vol. 4(1), pages 59-70.
    3. Jaroslav Vostatek, 2010. "Development Trends in Social Security with an Emphasis on Europe and Czechia," ACTA VSFS, University of Finance and Administration, vol. 4(1), pages 71-98.
    4. Stefan Traub & Tim Krieger, 2009. "Wie hat sich die intragenerationale Umverteilung in der staatlichen Säule des Rentensystems verändert? Ein internationaler Vergleich auf Basis von LIS-Daten," LIS Working papers 520, LIS Cross-National Data Center in Luxembourg.
    5. Grech, Aaron George, 2010. "Assessing the sustainability of pension reforms in Europe," LSE Research Online Documents on Economics 43865, London School of Economics and Political Science, LSE Library.
    6. Nicos Christodoulakis, 2018. "Sustainability and fairness still missing in the Greek social insurance system," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 39(8), pages 897-906, December.
    7. Aggarwal, Raj & Goodell, John W., 2013. "Political-economy of pension plans: Impact of institutions, gender, and culture," Journal of Banking & Finance, Elsevier, vol. 37(6), pages 1860-1879.
    8. Vandeninden, Frieda, 2012. "A Simulation of Social Pensions in Europe," MERIT Working Papers 2012-008, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    9. Hagen, Johannes, 2013. "A History of the Swedish Pension System," Working Paper Series, Center for Fiscal Studies 2013:7, Uppsala University, Department of Economics.
    10. Frassi, Benedetta & Gnecco, Giorgio & Pammolli, Fabio & Wen, Xue, 2019. "Intragenerational redistribution in a funded pension system," Journal of Pension Economics and Finance, Cambridge University Press, vol. 18(2), pages 271-303, April.
    11. Callan, Tim & Keane, Claire & Walsh, John R., 2009. "Pension Policy: New Evidence on Key Issues," Research Series, Economic and Social Research Institute (ESRI), number RS14.
    12. Gautier, Axel & Wauthy, Xavier, 2012. "Competitively neutral universal service obligations," Information Economics and Policy, Elsevier, vol. 24(3), pages 254-261.
    13. Carlos Santiago Guzmán Gutiérrez, 2019. "Sistema Pensional Colombiano: implicaciones de la educación financiera sobre las decisiones de traslado de los individuos," Documentos CEDE 17677, Universidad de los Andes, Facultad de Economía, CEDE.
    14. Cremer, Helmuth & De Donder, Philippe & Maldonado, Dario & Pestieau, Pierre, 2007. "Voting over type and generosity of a pension system when some individuals are myopic," Journal of Public Economics, Elsevier, vol. 91(10), pages 2041-2061, November.
    15. Tim Krieger & Christine Meemann & Stefan Traub, 2022. "Inequality, Life Expectancy, and the Intragenerational Redistribution Puzzle - Some Experimental Evidence," CESifo Working Paper Series 9677, CESifo.
    16. Andersen, Torben M. & Bhattacharya, Joydeep & Gestsson, Marias H., 2021. "Pareto-improving transition to fully funded pensions under myopia," Journal of Demographic Economics, Cambridge University Press, vol. 87(2), pages 169-212, June.
    17. Calvo, Esteban & Williamson, John B., 2006. "Old-Age Pension Reform and Modernization Pathways: Lessons for China from Latin America," MPRA Paper 4872, University Library of Munich, Germany, revised 2007.
    18. Ryo Arawatari & Tetsuo Ono, 2011. "Old-age Social Security vs. Forward Intergenerational Public Goods Provision," Discussion Papers in Economics and Business 11-26-Rev, Osaka University, Graduate School of Economics, revised Apr 2012.
    19. Michaël Zemmour, 2015. "Economie politique du financement progressif de la protection sociale," Working Papers hal-01205217, HAL.
    20. Ryo Arawatari & Tetsuo Ono, 2008. "Aging, Inequality and Social Security," Discussion Papers in Economics and Business 08-19, Osaka University, Graduate School of Economics.

    More about this item

    Keywords

    health care financing; sustainability; generational accounts; population ageing;
    All these keywords.

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:prf:journl:v:4:y:2010:i:1:p:12-46. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Magdalena Šebková (email available below). General contact details of provider: https://edirc.repec.org/data/vsfspcz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.